Land America Commenwealth Followup

As reported here a local title company is exiting the market.


Here is the story from Bakersfield Californian:

LandAmerica Financial Group to close all Kern offices

by VANESSA GREGORY, Californian staff writer

The latest sign of an ailing real estate market appeared Wednesday, when Richmond-based LandAmerica Financial Group Inc., announced the planned closure of its three Kern County title offices.

“To manage our company responsibly, particularly in a slowing real estate market, we must continually find ways to streamline and reduce costs,” the company said in a statement.

The local offices, which operate under the subsidiary name of LandAmerica Commonwealth, are “under-performing,” the statement said.

Twenty-six employees will be affected, company spokesman Peter Habenicht said in an e-mail.

As home sales have slowed, competition for business among local title companies has increased, according to Eric Klein, vice president and county manager of Chicago Title.

Unlike real estate agents and mortgage brokers, who earn commissions, switching jobs when business slows is tougher for salaried workers in the title industry, Klein said.

The LandAmerica Commonwealth offices have already ceased accepting new work, but will continue to employ a few employees through the summer to complete any unfinished transactions.